Delivered at the Sixth Session of the Eleventh Hunan Provincial People's Congress on January 11, 2012
Governor of Hunan Province Xu Shousheng

Fellow Deputies,

On behalf of the Hunan Provincial People's Government, I now present to you my report on the work of the government for your deliberation and approval. I also invite the members of the Hunan Provincial Committee of the Chinese People's Political Consultative Conference (CPPCC) and other representatives present to submit comments and suggestions.

Report on the Work of the Hunan Provincial People's Government 2012

I. Hunan embarked with a solid start to the 12th Five-Year Plan with boosted morale and concerted efforts in 2011.

In 2011, under the strong leadership of the Central Committee of Communist Party of China (CPC) and the State Council, we thoroughly implemented the policies and strategies of CPC Hunan Provincial Committee with determined hard work and collective actions, conquered regional mountain torrents and severe droughts seldom seen in history, tided over energy pinch, financial strain and rising inflation, and facilitated new-type industrialization, new urbanization, agricultural modernization, informatization and “Two-Oriented” Society construction. Overall, the main objectives and tasks set forth at the Fifth Session of Eleventh Hunan Provincial People’s Congress were successfully accomplished.

(1) Steady and rapid economic growth has been maintained.

In 2011, the province’s GDP grew by about 13% year on year to around 2,000 billion yuan (official estimates, similarly hereinafter), and its fiscal revenue rose by 31% from a year earlier to 246.07 billion yuan. The per capita income of Hunan's urban and rural residents reached 18,844 and 6,563 yuan respectively, presenting an increase of 13.8% and 16.7%.
Investment, consumption and export have contributed to economic growth in a coordinated way. Investment in fixed assets surged by 28% to 1,140 billion yuan; retail volume of social consumer goods increased by 17.8% to 680 billion yuan; foreign trade volume rose by 27% to 18.6 billion U.S. dollars.
Infrastructure facilities have been improved to better serve economic development. A new terminal of Changsha Huanghua International Airport has been put into operation; the province’s newly-added expressway mileage has amounted to 262 kilometers; 2,001 kilometers of arterial highway and 14,354 kilometers of rural highway have been newly renovated or constructed; Hunan’s 1,070 at-risk small reservoirs included in the Central Government-backed maintenance plan were repaired and consolidated; the province’s installed electrical capacity increased by 2.42 million kilowatts; 40,587 kilometers of power transmission lines in rural areas have been upgraded and reconstructed; full production run has been achieved for the Changlian Crude Oil Processing and Oil Quality Upgradation Project; the key water control project of Xiangjiang River in Changsha City and the water treatment of Dongting Lake has been accelerated.

(2) Strong and potent assurance for economic operation has been realized.

Efforts have been intensified to ensure power supply. We have strived for support from state ministries and commissions, diverted energy from outside the province, and launched the project of building a gas-oriented Hunan. As the campaign to cope with power shortfalls at consumption peaks over the year was carried out across the province, a series of measures including ensuring adequate coal supply for power generation and adjusting electricity tariff were implemented, essentially covering 129.3 billion kilowatt-hours of electricity demand throughout the province.
Every endeavor has been made to stabilize commodity prices. We have resolutely implemented the system of provincial governors taking responsibility for the "rice bag" (grain supply) program and city mayors for the "vegetable basket" (non-grain food supply) program. Measures of curbing rising prices have been adopted at the links including production, supply, distribution, and cost reducing, bringing the growth rate in consumer prices back down to 5.5%.
We have actively raised funds for provincial development. Government bonds issued by the Central Government on behalf of local authorities reached 8.9 billion yuan, and approved corporate bonds hit 7.75 billion yuan. We have helped small and medium-sized enterprises address financial difficulties by expanding the scale of credit and increasing the proportion of direct financing. Last year, ten more enterprises were listed at home and abroad. Financing via capital and money markets amounted to 280 billion yuan.
Resource supply in the province has been heightened. The province has achieved a balance between occupation and supplement of arable land for twelve consecutive years, and satisfied the land demand stipulated by major infrastructure construction and projects concerning people’s livelihood. Exploitation of mineral resources has been rectified and standardized. Special rectification on sand mining and workplace hazards screening were carried out. Significant achievements have been scored in geological prospecting.

(3) Transformation of economic development mode and adjustment of economic structure have been advanced.

We have propelled the progress of new-type industrialization. The added value in scale industries grew by 19.5% to 795 billion yuan, and the high-tech industries witnessed an increase of 32%. We have also pressed ahead with the “Four 100-Billion-Yuan Output Projects”, with the annual output of the electronic information industry and Yueyang petrochemical industrial cluster reaching 100 billion yuan each. The emerging industries of srategic importance have maintained a good momentum of development. The province now boasts of 10 national high-tech industrial development zones, economic and technological development zones and export processing zones, whose added value has increased by 22%. The integration of defense and civilian industries has been expedited. Continuous progress has been made in enhancing the province’s independent innovation capability. A batch of state-level key innovation platforms were established in Hunan, scoring over 800 scientific achievements and over 16,000 patents. The "super rice" achieved a harvest of 926.6 kg per mu during its trial plantation on 100 mu of farmland (1 mu is equal to about 666.7 square meters).
Steady development was seen in modern agriculture. Increase in grain yield reached 900 million kilograms and sales revenue in the agricultural products processing industry rose by 21.9% to 390 billion yuan. The experimental project of constructing new countryside in 10,000 villages of 100 cities and county-level cities and 1,000 townships is being carried out in full swing.
Rapid development was realized in modern service industries such as tourism, logistics, service outsourcing, and creative design. State-level Pilot reform of service industry in Hengyang and tourism industry in Zhangjiajie maintained a steady progress. Hunan’s tourism revenue totaled 178 billion yuan, up by 25%.
Significant improvement in investment structure was acquired. Share of non-state investment in the provincial total climbed two percentage points from the previous year. Investments in high and new technology industries and technical up gradation jumped by 32% and 35% respectively, while investment growth rate in six energy-intensive industries fell 18 percentage points. The non-public sectors of the economy have achieved a rapid growth, whose added value occupied about 55% of the provincial total. The development of regional economy presented a new pattern. Over 80% of provincial economic growth was contributed by Changsha-Zhuzhou-Xiangtan (CZT) City Cluster; a national demonstration area for undertaking industrial transfer in south Hunan was approved; 37 counties, county-level cities and districts were included in the national pilot program for poverty alleviation and development in the area around Wuling Mountain.

(4) Construction of “Two-Oriented” Society has been accelerated.

The leadership structure and working mechanism has been improved in the pilot zone for “Two-Oriented” Society construction (constructing a resource-saving and environment-friendly society) in CZT City Cluster, and the second-phase reform and construction is being sped up. We have strived for more than 50 national trial reform programs, and thrashed out 6 standard systems for “Two-Oriented” Society construction, including “Two-Oriented” communities and “Two-Oriented” industrial parks; the CZT City Cluster has been approved as a national experimental zone for the integration of informatization and industrialization. Zhuzhou Smelter Group Co., Ltd., Tiger Forest & Paper Co., Ltd., and Xiangtan Iron and Steel Group Co., Ltd. were included in China’s first batch of “Two-Oriented” pilot enterprises. Endeavors in energy conservation and emission reduction were intensified. 113 enterprises were listed in the national program of closing small businesses as part of energy crackdown. Energy consumption per unit of added value of scale industries in the province has dropped by 9%; heavy metal pollution treatment within Xiangjiang River basin has been initiated and the centralized rural environment treatment in Hunan was included in national trial program. The assessment of emission reduction targets, enforcement of environmental laws, and emergency management has been strengthened. The protection and construction of key ecological function areas have enjoyed a smooth progress, with the area of grain plots returned to forestry reaching 942,000 mu (628 square kilometers) and the forest cover rate staying at 57.01%. Solid advancement has been made in the preservation of biological diversity, and positive effects have been demonstrated in prevention and control of geological disasters.

(5) Reform and opening up have been further intensified.

We have hammered out a pilot water reform plan to propel the innovation of differential pricing for domestic water use. Classified reform on public institutions was pushed forward and assets inspection carried out in provincial administrative institutions. Round-off work for the reform of state-owned enterprises was promoted to improve the modern corporate system. 15 more cooperation projects were secured from China's Central-Government-administered state-owned enterprises (SOEs). New progress has been achieved in reforming rural credit cooperative systems. Jixiang Life Insurance Co., Ltd. was approved to be established as Hunan’s first insurance corporation for legal persons. Coverage of the social credit system was expanded to key industries and fields. We have fulfilled the main objectives set forth in the tenure reform of collective forest property system and institutional reform of townships. Over 10 million mu (about 6,666.7 square kilometers) farmland has been involved in rural land-use right transfer program.
Opening up has been further intensified. The actual utilized foreign capital totalled 6.1 billion U.S. dollars and the paid-in domestic capital touched 208.6 billion yuan. Eight more world's top 500 companies, including Foxconn, established their branches in the province.
Hunan's import and export volume of processing trade grew by 50% and the executive value of service outsourcing contracts by 51%. A series of economic and trade activities were hosted in Hunan, including the 2011 China Hunan (European) Investment Promotion Week, Visit to ASEAN-Hunan Week, Sino-Portuguese Youth Economic Cooperation Forum, Guangdong-Hong Kong Project Cooperation Fair, and the Seventh Hunan-Taiwan Cooperation Conference on Economy and Trade. Hunan section of the Wuhan-Guangzhou High-speed Rail has witnessed a smooth and safe operation. The passenger flow in Hunan’s airports continued to take the lead in central China.

(6) Remarkable headway has been achieved in cultural undertakings.

We have extensively promoted the reform of cultural systems and completed the innovation of cultural administration structures and law enforcement in cultural market in cities (prefecture) and counties (county-level cities and districts). The reform of state-owned theatrical groups, non-political newspapers and periodical publishing houses, and film studios were seen progressing well. Hunan Provincial Broadcasting and Television Bureau realized the separation of TV stations from the bureau and administration from operation, and completed the integration of broadcast-TV network.
Development of the system of public cultural services has noticeably accelerated. Renovation and expansion of Hunan Provincial Museum has been started. The project of sharing cultural information and resources among counties, townships and villages and the program of establishing comprehensive cultural centers in villages and towns have been completed. We have established 19,818 book houses for farmers, funded free entry to Hunan’s libraries, art galleries, memorial halls and cultural centers, and increased the coverage rate of broadcasting to 96%.
The development of cultural industries has been greatly accelerated. Hunan TV & Broadcast Intermediary and the Central South Publishing Media Group entered the list of China’s top 500 companies in 2011. The animation industry showed a sound and rapid development.
Efforts have been intensified to promote cultural exchanges. We participated in the Second Cross-Strait Intangible Cultural Heritage Month. Artworks themed as “Splendid Hunan” made a space tour in China's unmanned spacecraft Shenzhou VIII, revealing to the world Hunan’s great charm.

(7) Efforts have been strengthened to ensure and improve people's wellbeing.

Financial expenditure concerning people’s livelihood amounted to 227.43 billion yuan in 2011, which was 30.9% higher than that of the previous year. We have fully completed or outperformed the province’s target of implementing 32 concrete projects in nine fields concerning citizens’ living conditions. Periodic objectives for reforming pharmaceutical and healthcare systems have been fulfilled, and the basic endowment insurance trial scheme for urban and rural residents has been implemented in 96 counties (county-level cities and districts) across the province. We have started the construction of 466,000 indemnificatory apartments and houses in shanty towns, 227,000 of which were completed, outperforming the annual task assigned by the Central Government. A total of 114,000 dilapidated houses have been renovated for poverty-stricken rural households, reconstruction of bridges in danger has been initiated, and an additional 3.18 million people gained access to safe drinking water. We steadily increased the basic living allowances for entitled urban and rural residents as well as the compensation for food, clothing, medical care, housing and burial expenses of childless and infirm old people. We promptly instituted a sound mechanism to raise social assistance and social security benefits when commodity prices rise. We made constant efforts to increase employment. The number of urban jobs increased by 716,000, and 13.155 million agricultural workers found urban employment. Urban registered unemployment rate stood at 4.18%. We comprehensively implemented the responsibility system for workplace safety, and launched special rectifications in key industries and areas.
Rapid progress has been made in all social programs. By implementing the plan of building Hunan into a strong province in education, we launched the Three-Year Action Plan for preschool education, balanced the development of compulsory education, improved the service capability of vocational education institutions, and upgraded the capability of running colleges and universities. Fruitful results have been made in the patriotic sanitation campaign, prevention and control of severe diseases, and safeguarding of food and medicine safety. We vigorously carried out the national fitness program and substantially raised the level of competitive sports.

(8) Spiritual civilization and law-based administration have been reinforced.

With the publicity campaign marking the 90th anniversary of CPC as the channel, we have pushed forward the education on social and professional ethics, family virtues, and personal morality. Ideological and moral education for juveniles has been enhanced. Changsha and Changde were conferred as “National Civilized City”.
The improvement of democracy and legal system have been accelerated. We took initiative to consult the people about governance, find their needs, and seek their suggestions in the campaign of “Greeting the Tenth Party Congress of Hunan Province and Starting a New Journey”. We invited the Hunan Provincial People’s Congress and the CPPCC Hunan Provincial Committee to supervise and support our work and proactively took advice from personages belonging to all circles. We implemented the resolutions of Hunan Provincial People’s Congress in accordance with law and handled the suggestions and opinions of congress delegates earnestly. We valued and upheld the role of CPPCC Hunan Provincial Committee in exercising political consultation and democratic supervision and participating in deliberating and administration of state affairs. We tried to handle the proposals made by the committee members and accept the investigation results on “Hunan’s Development Environment” provided by the Hunan Provincial Committee of Democratic Parties, the Hunan Provincial Association of Industry and Commerce, and non-Party personages. Last year, we handled 1,134 suggestions from delegates of the Hunan Provincial People’s Congress and 695 proposals from members of the CPPCC Hunan Provincial Committee, with a settlement rate of 100%.
The development of a law-based government has been sped up. We issued the “Regulations on Service of Hunan Provincial People's Government” on the basis of “The Outlines for Building a Law-governed Hunan”, and initially formulated an administration system featuring “one scheme, two regulations, and six measures”.
Legislation has been further strengthened. We submitted 7 local laws and regulations to the Hunan Provincial People’s Congress and its standing committee for deliberation and approval and promulgated 9 regulations of the provincial government. Democracy at the primary level has been boosted. We successfully held the eighth election of villagers' committees and accomplished the three-year tasks of improving democracy, transparency and accountability in village governance. Substantial progress has been made in elevating transparency of issues concerning factory workers and village residents. We actively facilitated the implementation of Sixth Five-Year Plan to educate public about the law. Channels for people to report on social conditions and popular sentiment were made more convenient, with a total of 3,592 letters from netizens to the Governor’s Mailbox handled. We gradually improved the mechanism for mediating and settling conflicts and disputes and the system for contingency response. We handled mass disturbances aptly, and the emergency management system has been gradually perfected. With the comprehensive program of public order steadily propelled, all kinds of crimes were forcefully cracked down in accordance with the law.

（9）Administrative efficiency has been further improved.

We carried out the performance system in year 2011 and established the network information feedback system and evaluation system for supervising the administrative efficiency of the provincial, municipal and county governments. The mechanism of power operation was standardized comprehensively with 3,704 standard power operation items implemented by 69 departments directly under Hunan Provincial People's Government and the Central Government agencies in Hunan. We held the 11th clearance of administrative permissive projects and reduced 203 such projects, attaining a reduction rate of 35.6%. Online government service and electronic monitoring system of provincial, municipal and county governments were put into operation, which has facilitated government service and made government affairs more public. Substantial progress was made in the direct report of statistical data through network, and auditing supervision was strengthened which has standardized capital operation.
New achievements have been made in many aspects including ethnic groups, religions, Taiwan affairs, overseas Chinese affairs, promotion of international trade, industry and commerce, quality supervision, inspection and quarantine, family planning, civil air defense, consultation, literature and history, local chronicles, archives, supply and marketing, immigrants, the handicapped, the old, earthquake, meteorology, surveying and mapping, security, Red Cross and intellectual property rights. Meanwhile, new progress has been achieved in the undertakings related to the Labor Union, the Communist Youth League, women, children, etc.
We have made genuine progress in construction of national defense and reserve force. National defense mobilization has been further consolidated. Hunan-based People's Liberation Army, armed police and militia actively supported the construction of new-type industrialization, new urbanization, agricultural modernization, and informatization, and the building of a well-off, resource-saving and environment-friendly society. They contributed enormously to the actions of disaster relief, poverty reduction and social stability. National defense education continued to be strengthened, and the integration of military and civilians has developed steadily, producing a harmonious relation between the military and government and between the military and civilians.
Fellow deputies, it is not easy for us to initiate such a good start for the 12th Five-Year Plan. And we should further strengthen our consciousness and steadiness of scientific development, and fulfill the Central Government’s macroeconomic policy in a creative manner; we should precisely grasp the current characteristics of Hunan’s development which is insufficient, incomprehensive, and discontinuous, and try our best to enlarge the total economic output, raise the per capita output, and promote the quality of economic operation, so as to explore a scientific developing mode suitable for Hunan characteristics.
We must make overall plan so as to take into consideration every aspect of economic development. We should keep a sober mind in face of the complicated economic situation, make full use of our advantages and get rid of unhealthy factors, in order to maintain the momentum of economic growth, economic operation and social stability and improve people's lives.
The great economic and social achievements made in the past years are attributed to the existing and previous Party committees and provincial government and to the great efforts of all citizens in this province. Hereby on behalf of the Hunan Provincial People's Government, I would like to express my sincere gratitude to all the workers, peasants, cadres and intellectuals, to the members of democratic parties, federations of industry and commerce, personages without party affiliation, people's organizations and people from all walks of life, to Hunan-based PLA, the armed police officers and politics and law police officers, to Hunan-based units affiliated to the Central Government, to all compatriots of the Hong Kong SAR (Special Administrative Region), Macau SAR and Taiwan and all the overseas Chinese and international friends.
There is no doubt that we were also confronted with many difficulties and challenges in 2011.
First, economic growth and management mode developed in an extensive way with an irrational industrial structure, the constraint from energy, natural resource, and environment became day by day prominent. Therefore, we should adjust economic structure and transform economic pattern while highlighting steady growth, to constantly elevate the quality and efficiency of economic growth and improve our refined management.
Second, it is urgent to enhance the cultivation of emerging industries of strategic importance, which needs to further gather various innovative elements to serve the emerging strategic industries.
Third, the general price level is still on the high side and the inflation pressure is still large, which requires scientific methods to prevent inflation while maintaining economic growth.
Fourth, development in urban and rural areas, and in different regions and industries is still unbalanced, which needs to build a mechanism with rational and efficient allocation of production factors.
Fifth, it is still a hard task to protect and improve people's wellbeing, which requires we further enhance the capacity of supplying basic public service products while increasing the total economic output.
Sixth, we should accelerate the transformation of government functions, propel the administrative efficiency and improve work approach.

Ⅱ. In the spirit of the 10th Hunan Provincial Congress of the CPC, we will accelerate the construction of a well-off “Two-Oriented” Society and new-type industrialization, new urbanization, agricultural modernization, and informationization.

The 10th Hunan Provincial Congress of the CPC blows the horn of accelerating the construction of a well-off “Two-Oriented” Society in an all-round way. So we should work harder and take more initiative to turn the blueprint painted at the Congress into a glorious reality.
Nowadays, new things, changes and problems are emerging endlessly. Internationally, the overall world economic situation is extremely complicated and pregnant with grim possibilities. All outside factors, such as unfathomable European debt crisis, global flood of liquidity, weak international market, shortage of energy and resource supply, and growing protectionism, are exerting a much severer influence upon our economy. However, we believe that economic globalization is irreversible; peace, development and cooperation are what the world are longing for; adjustment, reforming and transformation are the general trend of our times. So in such an international situation, in which the world is undertaking a huge transformation and adjustment, and production factors are being reorganized and its circulation is being sped up, we must make and seize every opportunity to stimulate economic growth by boosting international and domestic demand.
Domestically, our industrialization and urbanization are undergoing rapid improvement. The economy, originally stimulated by policy, is now being changed in an orderly way to growing automatically. More attention is being focused on the pertinence, flexibility and foresight of the micro-control. More efforts are being distributed to acceleration of the transformation of development pattern and improvement of substantial economy. The economy development is being led in the direction anticipated by macro-controlling. We should take full advantage of the reversed transmission of the demand for easing monetary condition because of decrease in external requirements to win in the competition for a commanding height in the transformation of development pattern and reconstruction.
Provincially, Hunan’s economy is undergoing dramatic growing. Three economic regions, namely Changsha-Zhuzhou-Xiangtan City Cluster, southern Hunan and Great Xiangxi (western Hunan) have reached the national strategic level successively. We must enhance our confidence to overcome difficulties and challenges. We should seize the important historical opportunity that the three economic regions are supported by the nation to realize better and faster development.
The overall requirements in economic and social development this year are: we must hold high the great banner of scientific development to promote economic development in a steady manner, while controlling price, adjusting economic structure, intensifying reform, improving people's well-being and enhancing stability; efforts should be taken to ensure bettering of people's livelihood; endeavors will be made to escalate total economic output, per capita possession and operation quality; we need accelerate construction of new-type industrialization, new urbanization, agricultural modernization, informatization, and the building of a well-off, resource-saving and environment-friendly society, to pave way for success of the 18th National Congress of the CPC.
Our major objectives this year include increasing GDP by 13%, fiscal revenue by 15%, fixed assets investment by 22%, total retail sales of consumer goods by 15%, and per capita income for urban and rural residents by 10% and 11% respectively; fulfilling the energy conservation and emission-reduction target and tasks assigned by the central government; keeping the growth rate of consumer price at about 4.5% and bringing down registered unemployment rate in cities and towns and natural growth rate of population to within 4.6% and 7‰ respectively.
To achieve the outlined goals, we must keep a firm grasp on expanding domestic demand, pay close attention to developing the real economy, attach greater importance to stepping up the pace of reform and innovation and spare no effort to guarantee and improve people's well-being. We should adhere to scientific development, persist in opening-up and reform, and remain faithful to innovation and creation. We should accelerate a balanced development in urban and rural areas, protect and improve people's livelihood, and promote exercise of administrative functions according to law.

Ⅲ. We will work hard to reinforce development priorities, and make practical joint efforts to improve people’s livelihood.

To fulfill this task, the following guidelines should be adhered to:

(1) We will spare no efforts in ensuring sound and rapid economic growth.

Capital supply channels should be broadened. Based on the key projects under construction and continued projects, projects concerning people’s livelihood, and agriculture, farmers and rural areas, and enterprises which comply with industrial policies and small enterprises in particular, we will strive to attain national support. Sound government investment growth mechanism and channeling of financial funds should be developed, investment from social capitals should be supported, and efforts should be made to attract 7 trillion USD foreign investment and 240 trillion yuan domestic investment and new loans from financial institutions. Enterprises are encouraged to list and finance at home and aboard, and issue small and medium-sized collection notes and collection bonds. For listed companies, the scale of refunding, corporate bonds, short-term financing bills, medium term notes and private placement are to be enlarged. We should invite social security funds and insurance funds into the province to vigorously develop Jixiang Life Insurance Co., Ltd. Additionally, the roles of investment banks, investment funds and industrial funds need to be activated.
We will enhance power supply capacity. Efforts are to be made to meet the power demand of 144 billion kilowatt-hours generated by 20 million tons of coal supplied by the province and 20 million tons from outside the province. We shall advance our energy supply capacity, propel power and energy integration across Hunan, and accelerate the construction of an energy supply platform. Appropriate measures should be taken to broaden channels of introducing energy sources into Hunan, build Chenglingji Coal Base, hew out new routes for coal transportation, and support major Hunan-based coal enterprises to explore sources outside the province. Furthermore, there is a dire need to purchase more electricity from outside the province, and speed up the preliminary work of Gansu-Hunan ±800 KV high voltage direct current (HVDC) transmission project. Great importance should be attached to assisting key central power corporations, facilitating construction of a “Gas-oriented” Hunan, and carrying forward cooperative projects with Shenhua Group such as setup of coal reserve (transmit) base, and projects concerning electricity.
We should intensify efforts to rectify and standardize the order of mineral resource development, and advance and implement mechanisms like volume control, access and withdrawal, mining rights transfer and market supervision. Scientific exploration, scale exploration, green exploration, and risk reconnoitering in foreign countries are encouraged.
We should also spare no efforts in improving land management and implementing the strictest land conservation system. Priority should be given to satisfy land requirement in such circles as emerging industries, infrastructure and major projects concerning people’s livelihood. Efforts should be intensified to win land use approval, strengthen land use regulation, carry forward differentiation in land use as always, and dispose vacant land. We will push forward the pilot program of increasing arable area in rural areas and decreasing urban construction land, steadily carry out collective construction land transaction, better manage the rural residential land and improve conservation intensive land use by implementing strict fixed standards.
We should regulate the management, operation and disposal of state-owned assets. It is urgent to speed up investigating capitals of the local enterprises involved in banking and culture. All the capital is to be employed according to laws and regulations, and new methods and mechanism of distribution, usage and revenue relocation need to be published. Besides, we should also stimulate the increase of assets and carry out mergers and acquisitions, to avoid idle and waste of the state-owned assets. A better management system is a must to raise the management level, as well as strengthen classified regulation, dynamic regulation, full monitory and joint supervision by all departments. Endeavors should be made to take strict precautions against concealment and private sharing of assets, obtaining and misappropriating assets income, to ward off squander and loss of assets.
Talents management is an important task as well. We will highlight cultivation of innovative talents in science and technology, highly skilled workers and people with practical skills in the countryside. It is essential to vigorously induce talents and intellectuals who have mastered core technology and lead the construction of featured disciplines. Another key to talents management is efficient employment of the introduced talents. We will strive to break geographical and industry restrictions, reform household registration and files management, create a favorable stage for an orderly flow of talents, and encourage all kinds of talents to contribute to our economy. Good services are to be provided to set up a friendly environment for development, reasonable distribution and continuous flow of the talents.

(2) We will vigorously promote new-industrialization.

No efforts should be spared to advance the innovative development of industrial transfer. Technological transformation, merger and reorganization are two significant steps to realize 500 trillion yuan investment for technological renovation. Guangzhou Auto Fiat, expansion of display glass panel by Lens Technology, Huaqiang cultural and technological industrial base and other major projects will be promptly carried forward. Resource and technological elements should be inclined towards industries which conform to the national industrial policies, energy conservation and emissions reduction strategy, industries that have market potential with proper profits and scale, and traditional industries which may bring benefits to people.
We should build a multi-point support industrial development pattern, and foster a series of industrial clusters that enjoy widespread scope and updated technology. Due attention should be paid to thoroughly carry out the “four 100-billion-yuan output” project, and accelerate integration of industrial chains among key industries including advanced energy storage materials and modern TCM(traditional Chinese medicine). Efforts should be doubled to strengthen competitive industries such as equipment manufacture, non-ferrous metals processing, and food and petrochemical industries. We will strain every nerve to strengthen industrial clusters like electronic information, new materials, automobiles & spare parts in Changsha, electronic locomotives, rail vehicles and general aviation in Zhuzhou, wind power generation in Xiangtan, power Transmission and transformation equipment.
Structural adjustment of industrial products is imperative. We shall do our utmost to enhance the R&D of high value-added products with independent intellectual property right, support increase in market share for products with impressive demands and profit margin. It is important to guide industrial enterprises to enter into parks, propel construction of comprehensive national high-tech industrial bases and parks, encourage development of Chenzhou’s non-ferrous metals industrial parks, and build systemic industrial parks with particular features, perfect function and well-orderly divisions and collaborations.
We will foster the development of emerging industries of strategic importance. Priority should be given to certain fields with certain foundation, comparative advantages, and high possibility of breakthrough, for example, equipment manufacture, new materials, information, and energy conservation & environmental protection. We will do our best to focus on boosting the 100 key projects in strategic emerging industries, cultivate a batch of competitive enterprises which meet market demand, own core technology, lay emphasis on innovation and enjoy flexible mechanism, so as to form a new economical growth point as soon as possible. More energy should be placed to lead the matchmaking process as well as interaction and blending between strategic emerging industries and traditional competitive industries, manage the balance between labor-intensive industries and technical and capital-intensive industries. These industries should offer more job opportunities and make full use of available human resources.
Due attention should be paid to increase the ability of independent creativity. We will publish and implement Construction Program of Innovative Hunan, focusing on the implementation of a number of S&T major projects, projects integrating production, education and research, and other key projects. In the fields like integrated circuits, next generation web, and innovative medicine, endeavors should be exerted to make breakthrough in core technologies and key generic technologies, optimize the structure of innovative platforms, integrate innovative resources of major parks, universities and research institutions, advance the share of research facilities and information, and build upon industrial technology innovation construction. Enterprises should strengthen their capabilities of independent research and manufacture, thus propelling the transfer from “made in Hunan” to “created by Hunan”. Enterprises are encouraged to carry out the new products industrialization and application, boost local transformation of defense S&T achievements, set up a group of research achievement transformation bases and industrial incubation bases, thus forming a nice cycle of increasing profits with innovation and stimulating innovation with profits.
We must intensify efforts to double scientific innovation and service level in the county (county-level cities) units, and provide them with stronger scientific support. It is also necessary to combine science with banking, bring forward the leading role of ventures in such fields as electronic information, biomedicine and new materials, so as to construct a creative investment system featuring multi-levels, multi-channels and multi-development. Due emphasis should be laid to perfect the mechanisms for innovation stimulation and research accomplishments protection and evaluation, and enhance the creation, usage, protection and management of intellectual rights.
Proper measures should be taken to gear up thorough integration of informatization and industrialization. The construction of Changsha-Zhuzhou-Xiangtan national pilot zone for integration of informatization and industrialization and other provincial zones in this regard should be accelerated; infrastructure for information network including national supercomputer center in Changsha, geographic information service (GIS) platform, and natural disaster information database demand improvements. It is a must to advance the information technology public service platform, boost cloud computing, internet and other related industries, and further “climbing plan” for informatization in enterprises. We will facilitate the construction of a digital Hunan, boost information technology’s role in social and economic life, and quicken the construction of parks and manufacturing innovation bases for mobile electronic business. We shall exert great efforts to promote the pioneering work of intellectual transportation, smart grids and smart cities. It is also essential to elevate informatization in rural areas.
The new-type industrialization should be expanded. We will encourage competitive enterprises to carry out mergers and cross-region acquisition, cross-trade, cross-field, and cross-ownership pattern, to create a bunch of leading enterprises with greater influence and powerful motive force. Support should be extended to carry further the goal of achieving 100-million-yuan outputs for Hunan Valin Iron and Steel Group, Zoomlion, Sany Group, and Hunan Nonferrous Metals Holding Group, etc. With regard to small and medium-sized enterprises, we are going to offer better services and continue to promote developmental projects for the small and medium-sized enterprises, perfect the financing policies and risk compensation mechanism. We should improve the policies involving credit guarantee government procurement and directional purchase, to help enterprises solve problems such as sales, finance, and employment. Constant endeavors should be made to expand the circle of entrepreneurs, call for guidelines which induce hard work, and support industry, to create a favorable atmosphere for entrepreneurs’ investment and business.

(3) The agricultural modernization will be enhanced.

We will work hard to stabilize production of grain and other major agricultural products. We need to improve our policies to strengthen agriculture, benefit and enrich farmers, and establish a mechanism of increasing funds for agriculture, rural areas, and farmers. The arable land protection system must be strictly adhered to so as to safeguard permanent farmlands. Efforts should be exerted to accelerate basic farmland development around Dongting Lake and land reserve along Cengtianhe River and upgrade low-yielding farmlands in an all-round way. We will focus on construction of water conservancy in 53 national key small-scale counties, and speed up upgradation of large-scale irrigated areas, renewal and renovation of 27 large-scale pumping stations, and dredging and expansion of backbone ponds. We will continue to earnestly implement national plans on increasing food production capacity by 4.6 billion tons, enlarge plantation area of double cropping rice, and keep the total grain output at over 60 billion kilograms. We will support vegetable and pig production and develop special vegetable fields in urban areas and industrial bases.
We will work hard to develop modern agriculture. Adhering to diversification and characteristics, we will boost such superior and distinctive industries as cotton ramie silk, fruit tea, poultry, aquatic products, bamboo, oilseed, animals and edible fungus to form a balanced industrial pattern with distinctive features and reasonable layout. Adhering to industrialization and marketing, we will implement a plan on invigorating processing industry for agricultural products, adopt operation mode of integrating companies, bases and farmers, develop the industries of deep grain processing and logistics which boast of over a 100 billion yuan of output value, give priority to a number of enterprises which have solid foundations and provide strong impetus to other agricultural products processing sectors, and form a development mechanism in which all parties share both benefits and risks. Adhering to large scale and brand culture, we will build a group of high-yielding, high-quality, efficient, ecological and safe bases for agricultural products, establish state-level modem agriculture demonstration sites and provincial-level modem agriculture demonstration counties, practice standardized planting and orderly production, and produce well-known brands with strong competitiveness, promising prospect and high cost-effectiveness. Efforts will be made to develop professional cooperatives linking external markets and farmers, as well as intermediaries and agents for agricultural products circulation.
We will make great endeavors to upgrade support capacity of agricultural science and technology. We shall give prominence to agricultural technological innovation, break through the bottleneck of agricultural technology, strengthen technological R & D and penetrate in improved crop varieties cultivation, water-saving irrigation, agricultural machinery equipment, disease prevention, control, processing & transportation, circular agriculture and wellbeing improvement for rural residents. Adequate attention should be paid to pushing forward technical innovation of seed industry, strengthening construction of seed production bases and seed supervisory system at provincial, municipal and county levels. We will step up widespread adoption of agricultural science and technology, apply sci-tech in households, vitalize the villages with science and technology, and provide educational training to farmers through various means. We will actively offer public services including agricultural facilities services, animal and plant disease prevention and control, and quality inspection and certification of agricultural products in order to ensure quality and safety of agricultural products.
We will energetically develop a new socialist countryside. The rural distribution plan for the whole province will be completed. We will strengthen the construction, rectification, maintenance and administration of rural roads, safe drinking water, power grids, communications, information, biogas and other infrastructure and continue renovating rural dilapidated houses and ensuring drinking water safety and smooth traffic. We will learn from the experiences of Youxian County in its co-governance of rural and urban environment issues, set up 100 demonstration villages for rural cleaning, regulate the discharge of animal waste, equip qualified areas with garbage and sewage treatment facilities, and create clean water, clean fields, clean homeland and greener villages. We will carry out pilot projects of constructing new socialist countryside in cities, townships and villages, and develop rural communities in accordance with local conditions.
We will exert full strength to launch a new round of poverty alleviation. We will implement the rural poverty alleviation and development program during 2011-2020, as promulgated by the country, continue to treat western Hunan’s Xiangxi Autonomous Prefecture of as the front for provincial anti-poverty campaign, launch pilot program of regional development and poverty alleviation in the area around Wuling Mountain and the area around Luoxiao Mountain in a coordinated manner. Active work will be done to relieve people in mountainous and cold areas in the twenty-four minorities counties from poverty, and try to explore understanding in this regard. We will set the goal of poverty alleviation, free the poverty-relief objects from concerns about food and clothing, compulsory education, basic medical care and housing, enable growth rate per capita net income of rural residents in poverty-stricken areas to tower over that of the provincial average, and the indicators of basic public services and other main fields to get closer to the provincial average level. Equal emphasis must be placed on poverty reduction via development and social security in rural areas, and poverty alleviation & development programs and the basic subsistence allowance system for rural residents must be integrated. We will strengthen infrastructure construction, develop superior and distinctive industries, protect ecological environment, improve quality of workers, perfect social security system, and support independent development in poor areas. We will push forward poverty alleviation elaborately by focusing on employment, implement pro-poor policies on specific items, allocate funds to specific accounts, and offer assistance to 800,000 impoverished farmers. We shall promote the program of “thousands of enterprises forming a union to seek common development”, integrate special poverty reduction, industry-based poverty alleviation and society-based poverty relief, in order to form synergy for combating poverty.
We will strive to increase farmers’ income. We should strictly implement the price protection system for agricultural products, tap the income-growth potential of crop cultivation and livestock industry, and speed up the development of secondary and tertiary industries in rural areas. No efforts shall be spared to vigorously promote labor economy, enhance the training of farmers in practical techniques and vocational skills, and cultivate new-type farmers with good education, technical knowledge, and management and operation expertise. We will try to improve farmers’ ability of finding jobs, help them start their own business and increase their incomes, guide capable workers to return home for business, and strive to increase the number of rural labors transferring to non-agricultural sectors by 600,000.

(4) The construction of "Two-Oriented” Society will be accelerated.

The construction of the second stage of Changsha-Zhuzhou-Xiangtan Pilot Area (hereinafter referred to as CZT pilot area) will be advanced. We will step up innovations in systems and mechanisms, gain experience in resource conservation, environmental protection, social management, city construction, market operation and factors collection. We will make every effort to accelerate the establishment of the “Two-Oriented” industrial system, focus on implementation of the eight projects oriented by "Two-Oriented" industries. Endeavors need to be made to propel construction of demonstration regions, full coverage of energy saving and emission reduction, comprehensive treatment of the Xiangjiang River basin, infrastructure construction, coordinated demonstration of urban and rural areas, integration of comprehensive transportation, and of three networks" in order to develop industries in a hi-tech, intensive, clean and circular manner. We will practice the “Two-Oriented” standard and authorization mechanism, and push forward the construction of “Two-Oriented” demonstration projects and units. We will continuously carry out trade in pollution rights, green insurance pilots and eco-compensation. Efforts will be exerted to implement the consumption policies of energy-conservation, water-saving and environment-friendly products, advocate green consumption concept, enable the masses to be aware of the “Two-Oriented” concept, so that every citizen can participate in the construction of “Two-Oriented” Society.
We will work hard to accomplish the emission reduction target. We will control both the intensity and amount of energy consumption, close down backward production facilities, and impose rigid control on growth of energy intensive and highly polluting industries. We shall keep a rigid oversight upon energy conservation and emission reduction of key fields, industries and enterprises, carry forward "Tens of Thousands of Enterprises' Energy-saving Campaign", popularize energy management by contract, reduce per capita energy consumption of key energy consuming enterprises, and strengthen construction of sewage and waste treatment facilities. We will give impetus to the development of circular economy and comprehensive utilization of resources, shore up the construction of Miluo National Demonstration Base of Urban Recyclable Minerals, Changsha (Liuyang, Ningxiang) National Demonstration Base of Reproduction, Hengyang National Pilot City of Resource Utilization and Treatment of Kitchen Waste. We will perfect laws and regulations, scientific support and statistical and monitoring systems for energy conservation and emissions reduction, deepen the reform of prices for resource products; introduce tiered prices for household consumption of electricity, water and gas. We will restrict the approval for establishing enterprises in areas which fail to meet the target of energy conservation and emission reduction.
We will endeavor to enhance ecological improvement and environmental protection. We will launch the program of constructing a “Green Hunan”. Taking "One Lake and Four Rivers"(namely the Dongting Lake, the Xiangjiang River, the Zishui River, the Yuanjiang River, and the Lishui River) as our main focus, we will intensify protection of forests, water system, wetland, water source areas, headwaters of the rivers and ecologically fragile areas, and push forward the construction of ecological counties (city-level counties), ecological demonstration zones, ecological villages and ecological residential quarters. We will strictly carry out the managerial system on water resource, ensure water use efficiency and limit the amount of water consumption and pollutants in water function areas, as well as step up construction of the Asia-Europe Water Resources Research and Development Center. With Hengyang Shuikou Mountain, Zhuzhou Qingshuitang, Xiangtan Zufu Port, concentration area of selecting and smelting of non-ferrous metals in Chenzhou and Loudi Xikuang Mountain as the focal point, we will sturdily support heavy metals treatment and comprehensive wastewater treatment in Xiangjiang River basin. We will work swiftly to formulate Management Plan of Xiangjiang River basin and Administrative Measures for Sand Excavation in River Courses to conduct special rectification of sand excavation and catering industry on boat. We will try to improve the harmless disposal rate of garbage in urban areas above the county level, and actively promote concentrated harmless treatment of municipal sludge. Efforts will be intensified to prevent geological disasters and protect geological environment, perfect restoration and compensation mechanism on mine environment. The achievement on returning land for farming to forestry will be consolidated, management and protection of forest resources strengthened, and forest coverage rate stabilized. We will establish and improve environmental monitoring system and further intensify law enforcement for ecological environmental protection.

(5) New urbanization and balanced regional development will be promoted.

We will try our best to promote new urbanization. We will push ahead with differential and characteristic development of CZT City Cluster, central areas in cities and prefecture, border cities, border towns and central towns, promote development of cities and towns of different sizes and types in accordance with the requirements of “scientific distribution, reasonable function division, functional complementarity, and intensive development”. We shall level up the planning and construction of cities and towns, fully consider long-term and short-term interests, coordinate construction of ground and underground facilities, and cultivate urban character and culture. We will accelerate the expansion and improvement of medium and small-sized towns, promote extension of infrastructure and public services to countryside, do well in administration and service of rural-urban fringe zones, and establish a permanent mechanism to ensure equal access for urban and rural residents to basic public services. We will pay full attention to the working and living difficulties of migrant workers, and gradually solve problems they confront in employment, habitation, medical treatment and children's education. We will move more quickly to revise overall plan of cities, planning of village layout and village construction planning, facilitate the flow of farmers to communities and transfer of land to major farming households and economic talents.
We will continue to balance development in urban and rural areas. We will attempt to boost major function zones and tap their development potential. We shall make scientific planning of CZT City Cluster a priority, promote rational allocation of resources, complementation of cities, and distinctive development of urban and rural areas, improve transportation network and synchronize environmental improvement. We will strive to accelerate the opening up process of southern Hunan, formulate overall and various special plans and advance the construction of southern Hunan’s demonstration areas for undertaking industrial transfer. We will attempt to enhance the support capacity of energy, information and clearance, speed up the transformation and improvement of the existing industrial parks, build an agglomeration area of processing trade and a pilot area for industry transformation. We will work for the green development of the Great Xiangxi in accordance with the principle of "development via ecological protection and ecological protection via development", facilitate integration of economic growth and ecological protection, and pursue sustainable, green and low-carbon development. Support will be granted to the development in former revolutionary base areas, minority areas, remote and border areas, poverty-stricken areas and reservoir areas.
We will work hard to support the development of non-public sectors of the economy and county economy. Abiding by the laws of nature, economic laws and market laws in the primary stage of socialism, we will guide the counties to utilize their strengths and avoid weaknesses so as to boost distinctive leading industries with comparative advantages proceeding from realities. Active work will be undertaken to intensify development of supporting industries, unremittingly expand and extend industrial chains centering on the county’s cornerstone industries. We will increase policy support, implement measures to propel development of the county economy, trigger and encourage the rational flow of productive elements, such as capital, technology and personnel, to the countryside, and support qualified counties (city-level counties) to apply for the honor of “China Top 100 Counties” or “Top 100 Counties in Central China”. Greater endeavors will be exerted to energetically develop non-public economic sectors, lower the threshold for market access, and encourage full competition. All kinds of capital will be encouraged to flow into the market unless they are prohibited by laws and regulations. We will work at providing better support, protection and services for private enterprises.

（6）Investment should be guided and consumption expanded reasonably.

We will strengthen project construction. We will utilize our full potential to maintain appropriate investment scale and optimize investment structure to guarantee the progress of major under-construction and continued projects, significant projects concerning people's livelihood, key projects related to infrastructure, independent innovation, emerging industries of strategic importance, energy saving and environmental protection, and agriculture, rural areas and farmers, accelerate the “Three Ones Program” (the province plans to complete 10,000 billion yuan investment in fixed assets, implement 100 major projects and carry forward the construction of 1,000 key projects by 2015), and promote the new-type industrialization, new-type urbanization, agricultural modernization, informatization and construction of the “Two-Oriented” Society. We will strive to complete 1,390 billion yuan of investment. First, industrial investment would be increased. Priority would be given to construction of new materials projects, high-end equipment manufacture and major technical reform and undertaking industrial transfer projects. Second, infrastructure construction will be quickened. 1,000 kilometers of expressway will be constructed and opened to traffic. Key efforts will be exerted to propel the construction of Xiangjiang high-class channel, Chenglingji New Port, Xianing Port, Haozi Port as well as Xiangjiang Tugutang Hub and Xiangjiang Changsha Hub. Great endeavor will be made to carry forward Hangzhou-Changsha and Changsha-Kunming Passenger Dedicated Lines (PDL), renovate and extend Hengyang(Hunan)-Pingxiang(Guangxi) railway, and speed up the construction of Shimen-Changsha, Loudi-Shaoyang and Hengyang-Chaling-Jinggangshan(Jiangxi) railways. The eastern expansion of the aircraft movement area, and renovation and extension of the comprehensive supporting service zone and the branch airport of Changsha Huanghua Airport will be vigorously carried out. The No. 2 Generating Unit of Baoqing Power Plant in Shaoyang City, Baishi Power Station, five biomass power stations, and four wind power stations are scheduled to be put into operation, to increase the installed capacity of electric power by about 1.5 million kw; the new round transformation of power system in rural areas will be accelerated; the coal and electricity integration project launched by DaTang HuaYin Electric Power CO., Ltd. in Zhuzhou; the major power transmission network of the province and the transformation of power system in counties would be promoted; preparation work for Changde Power Plant of China Huadian Corporation and Jingmen-Changsha UHV AC project is worth great endeavor; no effort should be spared to win the Central Government’s approval of Taohuajiang Nuclear Power Project in Taojiang County, Yiyang City. As for urban construction, priority is to be given to rail transit construction in Changsha City and perfection of main roads and urban water supply facilities across the province. The infrastructure construction of information industry such as the local sensing network and cloud computing network should be stepped up to promote the technological R & D and industrialization of next-generation mobile communication network. Third, the investment in projects concerning people’s livelihood, ecological environment protection and water conservation should be increased. We will carry forward the government-subsidized housing projects for low-income urban residents, with 387,700 apartments to start construction and 151,500 apartments to be completed. We will speed up construction of the ecological economic circle around Dongting Lake and improve the eco-shelter formed by Nanling Mountain, Xuefeng Mountain, Wuling Mountain, and Luoxiao Mountain, and reinforce energy conservation, emission reduction and environmental management. We will intensify comprehensive treatment of the areas around Dongting Lake and Xiangjiang River, Zishui River, Yuanjiang River and Lishui River, management of medium and small rivers, comprehensive management of Hengyang-Shaoyang arid corridor and Centianhe River Reservoir extension project, and launch the new round of danger-elimination and reinforcment of small reservoirs.
We will vigorously stimulate consumption of residents. We will exert all strength to increase the income of urban and rural residents, reasonably adjust the distribution of income, and raise the proportion of residents' income in the national income and proportion of labor remuneration in primary distribution of income. We need to intensify efforts towards macroscopic readjustment and control of wage and income distribution in enterprises, and innovate salary administration system for principals of state-owned enterprises. We should optimize the consumption environment and further promote the consumption safety programs to safeguard the legitimate rights and interests of consumers. Furthermore, we should speed up improvement of consumption structure, development of culture, tourism and information industries, and expansion of auto consumption and consumption of services. The supervision of real estate market should be strengthened to promote its healthy development. We will carry out nationwide comprehensive trial of modern circulation of agricultural products, continue the market project of “Thousands of Villages and Townships”, new network project, and program of “household appliances and motorcycles going to the countryside”, improve the rural logistic distribution and delivery system, and boost the development of chain stores in countryside.
We will step up the development of modern services industry and encourage implementation of identical prices of electricity, water, gas, and heat in service industry as that in any other industry. Priority will be given to productive service industries such as information services and modern logistics, a number of province-level international service outsourcing demonstration zones and industrial design platforms will be set up, and service platforms such as Internet of Things, information consultation platforms, and product testing platforms will be developed. The national comprehensive pilot reform of services industry in Hengyang will be accelerated, and Changsha will be developed into an influential consumption center and a cultural center in central China.
We will energetically develop e-commerce, comprehensively boost the service sectors closely related to people’s life such as commerce and logistics, postal and express services, catering and accommodation, sports and fitness, leisure and entertainment, and home nursing, and vigorously forward the progress of digital media, digital publishing, animation and cartoon games and other emerging cultural service industries. We will propel the development of Xiang Cuisine, Xiang Embroidery, Xiang Porcelain, Xiang Rice and Xiang Tea, and implement brand strategies to make “Xiang” brand well-known at home and abroad. We will continue to boost tourism as a pillar industry, quicken the construction of Xiangjiang Tourism Economic Zone, Great Xiangxi Ecological and Cultural Tourism Circle, carry forward the national comprehensive pilot reform of tourism in Zhangjiajie, strengthen development, marketing and regulation of tourism market, and promote informatization and standardization of this sector.

(7) The reform and opening up should be further advanced.

We will continue to deepen the reform of state-owned enterprises. We need to complete the reform of state-owend enterprises and fulfill the scheduled goals and tasks. There is a need to hasten the transformation of state-owned enterprises into standard stock companies, encourage the enterprises to be listed as a whole or make their main business assets listed, and improve the level of asset securitization in a sound manner. We will further perfect the modern enterprise system, better the corporate governance structure, and strengthen supervision over state-owned assets of enterprises run by the provincial government to ensure the maintenance and increase of state-owned assets. We should carry forward the establishment of a market system for property right trading, standardize the behaviors of government shareholders of listed companies, and advance the trial of market value management of state-controlled listed companies.
We will thoroughly carry out reform of water conservancy. The three-year plan for pilot reform of water conservancy will be launched. We would focus on the pilot reform of urban and rural water management system in Changsha and Xiangtan and integrate management of Xiangjiang River basin and water function zones. We will speed up the establishment of water conservancy investment and finance system relying on public finance, guided by the government and supplemented by the market with mass participation. Great endeavors should be made to innovate construction, regulation and operation of water conservancy projects, perfect the water conservancy service system at primary level, strengthen the water quota management, and reform water prices in urban area, price of water for agricultural use and the water price for centralized water supply project.
The reform of fiscal and taxation system will be deepened. We will perfect fiscal system under the provincial level, further improve the transfer payment system and county-level basic finance guarantee mechanism, as well as expedite the reform of centralized collection and payment by the state treasury and settlement by public service card. We will carry out performance evaluation on major projects related to people’s livelihood, propel the government procurement system reform, and accelerate construction of standardized government procurement system. We should intensify the administration of government debt and strengthen the responsibility of governments at all levels, standardize management of non-tax revenue, earnestly carry forward the structural tax cut policy such as adjustment of personal income tax, reform of value added tax and business tax, and lighten the burden on small and micro-sized companies. Efforts must be exerted to deepen the integrated reform in rural areas and reform and optimization of village and township institutions, and implement the real-name system for the staff of village and township institutions; surplus personnel must be reassigned in a positive and sound manner; civil servant selection and administration system must be improved, so as to forward the reform of classification of public institutions.
We will accelerate the improvement of investment and financing system. We will better the fiscal investment mechanism, direct more government expenditure towards agricultural, rural areas, and farmers, as well as undertakings related to people’s livelihood, speed up financial reform and innovation, vigorously introduce all kinds of financial institutions, steadily develop small-loan companies, and regulate the development of financing guarantee agencies and third-party payment platform. We will continue to deepen the reform of rural credit cooperatives, and actively cultivate financial institutions for small and micro-sized companies, and agriculture, rural areas, and farmers. We will set up delivery warehouses for bulk commodities, strengthen and expand Hunan’s local futures companies, perfect the social credit system, give full play to the role of credit investigation system, avoid and defuse financial risks, and severely crack down on all kinds of illegal financial activities, in order to maintain the stability of financial market.
We will vigorously develop open economy. We will strive to increase the import and export trade volume by more than 18%, and the actually utilized foreign investment by 15% or more. Efforts will be intensified to expand the export volume, support key foreign trade enterprises, promote the construction of export bases, while developing the export market by various means, consolidate traditional market and boost the emerging markets in ASEAN countries, South Asia, etc. We will upgrade the structure of foreign trade, scale up the export of new-technology products and electromechanical products; increase the import volume of energy resources, advanced technology and equipment and key spare parts. We will energetically develop service outsourcing, turn Changsha into a national service outsourcing demonstration city, establish a number of national service outsourcing bases for software exports, data processing, animation and cartoon games, cultural creation and so on, and cultivate a batch of leading enterprises and famous brands in this regard.
We will vigorously undertake industrial transfer, expedite the construction of Chenglingji Port-surrounding Industrial District and Changsha Airport-surrounding Industrial Area, as well as the Electronic Port Entity Platform and Port International Logistics Park. We will advance the level of business and investment invitation, introduce investment rationally, industrially and thriftily with integrity, and raise agreement fulfillment rate, financial capital availability ratio and project starting rate. We will fully implement the "going out" strategy, encourage qualified enterprises to participate in global industrial division, give key support to international industrial parks in Vietnam, Thailand, Laos etc, fully exploit Hunan’s advantages in engineering construction, machinery and hybrid rice, scale up the export of labor service, establish and perfect the" going out" risk prevention mechanism and service system, and try to minimize the losses caused by unexpected events. We will actively take part in regional economic cooperation, exert all strength to launch the Seventh Expo Central China, intensify targeted aid and collaboration and provide further assistance to Tibet and Xinjiang.

(8) The progress of culture and other social undertakings should be promoted.

Cultural progress and prosperity will be greatly enhanced. We will facilitate the system of socialist core values, which covers social morality, professional ethics, family virtues, personal morality, as well as the ideology and morality for college students and minors. Hunan will quicken its pace of building itself into a province with great cultural influence, with coordinated development of cultural undertakings and cultural industry, and will further expand the influence of its typical Huxiang culture. Emphases will be put on the coordinated the development of urban and rural cultural undertakings as well as the integration of urban and rural public cultural resources, bringing out affordable, readable and applicable cultural products, and making cultural activities ready and accessible to the general public. Efforts will be made on the full coverage of culture-related facilities for public use, enhancing the multifunction of township cultural centers, expansion and reconstruction of provincial museums and libraries, and emergence of art galleries. We will continue to implement cultural projects that benefit the people, such as performances for the masses and people in the countryside, and activities like the “Hunan Reading Month”. Social institutes and enterprises are encouraged to participate in the construction of nonprofit cultural undertakings, with cinemas and performances reaching cities and counties. We will strive to properly protect, use and pass on human resources, which are mostly represented by key cultural relics and intangible cultural heritages, and enhance the protection and construction of Hongjiang Ancient Commercial City in west Hunan and relics parks such as the tomb of legendary Emperor Shun in Ningyuan County, Chengtoushan Historic Site in Changde City, Changsha Kiln of the Tang Dynasty, and Laosicheng in the Xiangxi Autonomous Prefecture. Creation of fine cultural products and exquisite works of art is encouraged, so as to boost the prosperity of philosophy and social sciences. The integrated development of culture with industry, tourism, sports and other undertakings is also hailed by means of science & technology and capital market. We will optimize the layout of cultural industry to support the industrial parks such as Tianxin Cultural Industrial Park, and counterparts on such areas as Xiang embroidery, art ceramics, and industrial arts. We will adjust the cultural industrial structure, expand and strengthen innovative industries such as comics and animations, broadcasting and television, publishing, and show business. We will support the leading cultural enterprises to develop further, encourage enterprises such as VOC (www.voc.com.cn/) to seek financing by listing on the stock market, vigorously bring in culture-related strategic investors, and foster a batch of cultural enterprises and conglomerates with significant influences home and abroad. Systems and mechanisms in favor of cultural progress and prosperity will be focused on, and the transformation of commercial institutes of cultural undertakings into enterprises will be speeded, covering 97 state-owned theatrical performance troupes and 123 non political newspapers and magazines publishing units. We will also grant support to promote the sound development of Hunan Provincial Culture and Artwork Property Exchange.
We will develop education to the satisfaction of the people. Priority will be given to the development of education, and the working mechanism and guarantee of strengthening the province through education will be further enhanced. We will carry out the Three-Year Action Plan for Preschool Education, promote the balanced development of compulsory education, and give priority of allocating educational resources to rural areas, outlying areas, old revolutionary base areas, poverty-stricken areas, and ethnic minority areas. We will facilitate the pace of making senior secondary education universal, and build up a number of demonstrative vocational colleges, promote cooperation between vocational colleges and industries & enterprises, and deepen the reform and innovation of higher education, strengthen construction of high-level universities and key disciplines. We will expand the transparency of education, increase international exchange and cooperation in education, and enhance teaching ethics, competence and the overall quality of teachers. Adequate attention will be paid to the government-funded training of teachers of kindergartens, primary schools and high schools as well as the recruitment of teachers on special posts. We will support standardized development of privately-run schools, complete the education input mechanism, reach the percentage of educational expenditure in the provincial financial revenue, strengthen fund guarantee of the compulsory education in rural areas, fulfill subsidy policy to aid the students with financial difficulties, implement the rural compulsory education students nutrition improvement plan, rectify the loopholes in school bus safety, and regulate operation and management of school transportation.
Overall consideration will be given to the development of public health, sports and other social undertakings. We will continue to promote the health system reform, improve the national system for essential pharmaceuticals and the basic health care service system, carry out national basic and significant public medical and health care services projects, renovate public hospital mechanism, increase control of major infectious diseases, implement immunization program, put focus on eliminating measles and defending against poliomyelitis wild viruses, expand the scope of free treatment for congenital heart disease and leukemia. We will provide surgical treatment for 25000 cataract patients from poor families, offer treatment to all newly-born cleft lip and palate patients, and implement treatment for 2000 handicapped children from poor families under the age of 6. We will promote the development of traditional Chinese medicine; enhance its intervention on chronic diseases and the capability of curing major diseases. We will intensify medical care information construction, and put emphases on the pilot work concerning regional health care informatization and health card of residents. We will earnestly implement the basic national policy of family planning, optimize birth population structure, improve the health of newborn population, and work to stabilize low birth rate. We will also well handle the old age work and care of the next generation, and protection and healthy growth of minors. We will launch extensive fitness programs for the general public, develop sports industry, and prepare for the 2012 London Olympics, 2012 Paralympic Games, and the 12th National Games. We will develop the causes for the disabled, welfare and charity, guide the nongovernmental sectors to run welfare institutions; complete the directory of enterprises and public institutions, implement networking delivery of enterprise statistics in an all-round way; build up township post offices for those areas which still have none, and continue with the work concerning such fields as earthquake, meteorology, archives, culture & history, the Red Cross, and etc.

(9) We will work hard to guarantee and improve people's well-being.

Priority will be given to expansion of employment. We will implement more active policy for promoting employment, and improve the service system which covers both urban and rural areas, and integrates policy support, training in starting businesses, and innovative undertaking services, and well handle the employment of focus groups. We will put into play the role of major projects and small business and microenterprises in providing more employment opportunities; construct a batch of innovative undertaking incubation bases, and encourage college graduates to start their own business to open more employment opportunities. We will work on the employment information service, training instruction, and vocational training; implement the collective wage consultation system, system of handling labor disputes, and the mechanism of supervision over law enforcement to effectively protect the lawful rights and interests of workers.
The social security system will be improved. We will accelerate the establishment of a social security system featuring broad coverage, multi-level, sustainability, and grassroots-orientedness, realize the full coverage of pension insurance for urban and rural residents, secure 100% pension payment for retired people; continue to improve enterprise pension insurance system, raise enterprise retiree pensions, complete the basic medical insurance system for urban employees and residents, encourage more non-public economy employees, flexible employees, and migrant workers to participate in the medical insurance system for urban employees. The government’s financial allowance of RMB240 yuan for the new rural health care insurance and the basic urban health care insurance will be strictly implemented. We will consolidate and complete the new type of rural cooperative medical care system, with the hospital expenses in accordance with the policy coming up to 70%, and the instant payment rate of new type of rural cooperative medical care fees reaching 100%. We will carry out clinic coordination, and realize the basic medical insurance coordination at the city level. We will promote networking of medical care information in the whole province, and establish settlement system for medical expense in places other than people’s own hometown. We will complete the insurance system against injury at work, expand the coverage of unemployment insurance and maternity insurance, and facilitate the integration and combination of various social security institutes under the county level, and conduct pilot online services, propel standardized management of social assistance, complete relief mechanism for the poor, enhance guarantee for the orphans, and continue to raise the level of urban and rural minimum subsistence assurance and the “five-guarantee” (according to which the childless and helpless old folks are provided with food, clothing, medical care, housing and burial expenses), so that the eligible recipients of the “five-guarantee” can enjoy free basic medical expenses for hospitalization in the county or village level medical institutions. We will continue to ensure the progress, quality and equity in the construction, management and allocation of housing projects for low-income urban residents.
A long-term mechanism of regulating and stabilizing commodity prices will be established. We will ensure the balance between supply and demand, and earnestly carry out the system of overall responsibility for “rice bag” project by the governor, and the "shopping basket' project by the mayor. We will practice the “green channel” policy to facilitate the fresh farm produce circulation system featured by high efficiency, fluency, safety, and orderliness, and reduce the interface of circulation costs, so as to effectively join agricultural enterprises and supermarkets. We will intensify the reserve of agricultural products, and implement the supportive policy to wholesale market for agricultural products, trade markets, community fair-price shops, and so on, propel such facility construction as precooling, chilling, and freezing in production places, cold-chain transportation, storing and packing. We will promote favorable prices, fulfill joint mechanism between social reliefs & guarantee standard and supervised price rises, ensure living standard of the needy not to be greatly affected with the price rise; intensify market supervision and management, increase price supervision, monitoring and early warning capabilities, highlight the supervision and control over the prices and fees of such hot livelihood issues as medical care, education and housing, and severely crack down upon illegal pricing acts. We will build quality safety tracing system as well as the regular testing system, and improve the network system of analyzing pesticide residuals at provincial, city and county levels.
We will unswervingly perform actual deeds for the people. We will concentrate on the following 18 practical things which the people can see, benefit from and compare:
6000 km rural road construction; danger removal and reinforcement of 457 devastated and dangerous reservoirs; handling drinking water safety issue for 3 million rural population; broadcasting and television reception for 500,000 households; 74,348 new sets of low-rent housing and 93,940 new sets of public rent housing; dilapidated buildings renovation for 100,000 rural households and renovation & extension of 200 gerocomiums; annual grants to each of the rural “five-guarantee” reaching 2,000 yuan; an increase of 27% and 32% respectively over the previous year of the urban and rural minimum guarantee per capita every month; resettlement for 10,000 immigrants to ward off risks; new urban job opportunities for 600,000 people; 100% coverage of social pension insurance for urban and rural residents; 2,600 electric power supply renovation projects for administrative villages; 500 qualified schools of compulsory education and 200 public kindergartens in rural areas; 500 natural villages newly receiving phone connections; 100% coverage of financial organizations for all the townships; 100 provincial-level specialized farmers cooperatives of demonstrative type; 100,000 rural bio-gas digesters and 9,400 courtyard bookhouses.

(10) The socialist democracy and legal system should be improved.

The Outline on the Construction of Law-ruled Hunan has to be thoroughly implemented. We shall adhere to the integration of Party’s leadership, ruling the country by the people and by the law, and be persistent in making decisions in a scientific, democratic and legal manner; vigorously promote the legalization of government construction, economic and social administration, interest adjustment, and public resources allocation. We should earnestly implement the decisions made through the People’s Congress and the standing committee and voluntarily accept work supervision by the law, support the CPPCC to exercise political consultation and democratic supervision and participate in deliberation and administration of state affairs, genuinely transact and implement the proposals and suggestions of the representatives of the People’s Congress as well as the proposals of CPPCC members; listen to the democratic parties, the All-China Federation of Industry and Commerce, and personages without party affiliations, willingly accept transparency to the media and ensure that monitoring of general public is effective. Judicial organs should be authorized to independently exercise powers within the framework of law. Primary-level democracy shall be extended so as to establish a system of community level self-governance both in urban and rural areas, strengthen the primary level administration according to law, continue promotion of lucidity of administrative affairs at the government level, as well as factory, village and residents committee level, perform well in the 8th community residents committee elections, and safeguard citizens’ right to vote and stay informed about, participate in, express views on, and oversee government affairs. The work concerning trade union, youth league and women's federation as well as ethnic, religious and overseas Chinese affairs shall be strengthened. Efforts will be made to intensify government-sponsored legislation and carry out the 6th Five-year plan of law popularization. The Hunan Academician and Expert Consultative Committee and the Counselors’ Office of Hunan Province is encouraged to play a constructive role.
Social management ability and administrative level has to be advanced. Striving for a normalized development, social organizations will be included in social management and social services within the framework of law, to effectively promote “Four Specific and One Regionalization” (i.e., to establish Party branch in communities with specific persons, specific funds, specific and completed regulations to address affairs, and specific service center to discuss official business, and to jointly advance the regional construction of Party branches in communities ) in rural and urban areas, as well as to propel the construction of harmonious urban communities and experimental construction of rural communities. Efforts will be made to establish migratory population services and management information system, improve community corrections, placement and aid, isolation treatment mode and coupling control mechanism for the special population, reinforce education, management and assistance for rural left-behind children and vagrant and begging minors. We should impel informatization of social management, complete the dynamic national population information database, and carry out “universal credit card” mechanism of residence permit. We will build an online dynamic management mechanism, information inspection and public opinion monitoring mechanism, so as to improve public opinion collection, communication and guidance system on the internet. We will intensify construction of public security system as well as disaster prevention, reduction and relief, launch establishment of Changsha central warehouses of disaster relief resources, so as to perfect monitoring, early warning and emergency response mechanism when faced with natural disasters, accidents, public health mishaps and social security incidents, and be on high alert for and be able to effectively crack down on all infiltration, subversion and sabotage by hostile forces at home and abroad so as to successfully maintain national security and interest. We should intensify food and drug safety supervision, further improve supervision mechanism, integrate examination and inspection, and severely clean-up unlawful production and marketing of counterfeited and inferior goods.
We need to create a pleasant social living and working environment. To maintain safe development, we need to take large-scale measures to operate against unlawful production and marketing , strengthen law enforcement and supervision in such significant fields and industries as coal mining, non-coal mining, water and road transportation, construction, fire protection, fireworks, hazardous chemical, civil explosive materials, unlawful sand excavation and metallurgy, launch special rectification and intensify potential safety hazard investigation and prevention. We should fulfill the foremost responsibility of maintaining social stability, improve the measures to sort out, check and resolve conflicts and disputes as well as risk assessment of big items for social stability, prevention and handling mechanism for mass incidents in the new situation, adhere to and perfect the joint endeavor of people’s mediation, judicial mediation and administrative mediation, and give full play to the meditative role of mass organizations, industrial associations and intermediary organizations. Legal aid and services shall be enhanced to better the interest coordination, appeal and expression, dispute mediation and treatment, as well as rights and interest safeguarding mechanism. We should industriously persist in guiding the complaint report methods, to better normalize, standardize and systemize leading officials’ visits to the public and hearing citizens’ voice. Measures will be taken to improve grassroots letters-and-visit network, so as to ensure the public of a green channel for letter complaint and construct a one-stop working platform for resolving problems and safeguarding the interests and rights of the masses. Always stressing on taking measures against all kinds of crimes, we must endeavor to accelerate construction of electronic prevention and control system for public security and better the comprehensive platform of social stability maintenance as well as joint prevention and control mechanism for social security at county, township and village level, so as to speed up formation of a high-efficiency dynamic prevention and control system for social security.
National defense and reserve forces building should be propelled. We shall intensify national defense mobilization, militia and reserve forces, and civil air defense, and vigorously probe a civil-military integration based development. Efforts will be exerted to promote nationwide national defense education as well as civil-military support and joint construction of ideological and ethical progress, strictly carry out soldiers collection, earnestly implement the policies of special comfort and preferential treatment, perform well in helping the cadres transfer to civil work, demobilized soldiers and officers’ family members find jobs, so as to consolidate and develop unity between the army and the government and between the army and the people.

IV. We will strengthen government's self-improvement and ensure implementation of work plans effectively and creatively.

We must always put people first and run the government for the people, constantly deepen reform of the administrative system, accelerate the development of law-based government, and make the government more service-oriented and more responsible while also strengthening efforts to promote clean government and combat corruption.

(1) We must quicken the transformation of government functions.

We need to severely carry out administration and fulfill responsibilities according to the law. We must profoundly implement the provisions of administrative procedures, regulate administrative acts and lay down specific guidelines outlining an agency's enforcement discretion. We should further improve our government’s abilities of drafting legislation, implementing administrative laws and undertaking administrative reconsideration so that the government administration will be more standardized, orderly, open, transparent, accessible, and efficient. We will intensify the separation of the functions of the government from those of enterprises, state assets management authorities, public institutions and market-based intermediaries, standardize administrative practices, and reduce government intervention in microeconomic operations. We should deepen reform of the administrative examination and approval system, clean and reduce administrative examination and approval items, simplify procedures and improve efficiency. We should uphold administrative openness as a principle, quicken the improvement of online government affairs services and electronic surveillance systems, and take active measures to promote the candidness of administrative decision-making and administrative enforcement, carry through transparent examination and approval and make public information freely accessible.

(2) We should vigorously improve administrative efficiency.

We will push forward the performance evaluation of civil servants and specify criteria and methods of evaluating their performance scientifically. The results of the appraisal shall be taken as the basis for appointing and removing to ensure fulfillment of all tasks. We must rigidly implement administrative accountability system, step up administrative efficiency scrutiny and auditing supervision, and perfect the system of supervision and check on deployment and implementation of major decisions and important strategies. Resolute measures should be taken to prevent and readdress the phenomena that the subordinate authority doesn’t effectively carry out the policies according to the request of higher government , and that civil servants disobey the law in disregard of orders and prohibitions. It is necessary to improve the economic development environment, resolutely investigate and deal with people and cases damaging the environment, and build an open, orderly, just, fair, transparent and predictable development environment for all kinds of market entities.

(3) We need to handle all matters industriously and frugally.

We should adhere to laws and regulations in administration of rights, government affairs and human resources. We should keep a very tight rein on our general expenditure such as administrative cost, adopt a serious-minded attitude towards holding forums, festival events and commending conferences. We shall decrease various kinds of inspecting and appraising activities and continue to lessen the construction programs for the competition venue for large-scale sports events, and speed up the construction of office blocks for the departments directly under the CPC Hunan Provincial Committee. We should stoutly get rid of formalism and bureaucratism, insist on canceling unnecessary activities and firmly forbidding unsubstantial practices as well as ostentatious and extravagant behaviors.

(4) We should always rectify our working style.

We must firmly implant the concept in our mind that to enter politics is to function and no contribution is equal to wrong doing. Our aim is to consistently serve people heart and soul and attend faithfully to our duties. We shall keep to our quality of industriousness. We shall never shrink from danger, from hardship, or from bitter toil, throw ourselves into the magnificent upsurge of our country's reform and take initiative to participate in social developmental practices which is in full swing.
We should always ask people for political advice and suggestions, and find out people’s basic needs. We will find grass root solutions to our main problems, derive wisdom and sum up experience from the masses so that our decisions and actions will meet objective realities and fundamental interests of the people.

(5) We should build an honest and clean government.

We must keep strictly to the code of ethics for CPC cadres and ensure proper implementation of the concept of Two Duties for One Post, and propel the improvement of corruption prevention and combat system with full confidence,resolution, and effective measures.We will accelerate the establishment of a sound operating mechanism for government administration, one that allows decision making, enforcement, and oversight departments to restrain and coordinate with each other.We will stress discipline inspection for advancing clean government and prevent government agencies from excessive and unjustified abuse of public rights. We need to improve the government's ability to perform its duties and strengthen public trust，enhance administrative enforcement discipline education and professional ethics education for civil servants.
We will strictly implement the system of responsibility for law enforcement and the accountability system and we must be honest and upright and work conscientiously in accordance with the dignity we deserve.
Fellow deputies,
Facing both modifications and leaping forward, we are trying to create a splendid future with pride and enthusiasm. Let us rally closely around the Party Central Committee with Comrade Hu Jintao as the General Secretary, thoroughly apply the Scientific Outlook on Development, and under the leadership of the CPC Hunan Provincial Committee, work with one heart and mind in a joint and unflinching effort for Hunan’s development, so as to ensure that Hunan people live a happier life with greater dignity and greet the 18th National Congress of the CPC with excellent achievements.